Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Hi there, Could I please get clarification on this segment of my homework answers please? :) Kirsty's Kitchens is a retail store. Employees are paid

image text in transcribed

Hi there, Could I please get clarification on this segment of my homework answers please? :)

image text in transcribed

Kirsty's Kitchens is a retail store. Employees are paid as follows: page 1 (i) Time and a half for hours worked in excess of 7 hours on week days and the first 4 hours worked on Saturday; (ii) Double time is paid for hours worked in excess of 4 hours on Saturday and for all hours worked on Sunday; (iii) There are no penalty wages only Ordinary Time Earnings (OTE) and overtime; (iv) Assume that the hours worked (in the table below) are for the first week of a new month. Do not assume that further OTE will be worked by these employees this month. The PAYG withholding income tax rate to be used for all employees is assumed to be 30%. Employer superannuation contributions are in addition to the hourly rate of pay. Round all tax calculations to the nearest Sc. Superannuation is to be rounded to the nearest cent. Required: Calculate the amount of employer superannuation contributions for each employee. Calculate the net pay for each employee. page 2 Please read the text book carefully in regard to when compulsory employer superannuation contributions will be payable. Note that the employee is eligible for super guarantee when they receive $450 or more (before tax) in OTE for a calendar month. For more details on employee eligibility for super guarantee purposes, please refer to the following ATO link: https://www.ato.gov.au/Business/Super-for- employers/Working-out-if-you-have-to-pay-super/ Also please note that 9.5% rate should be used when calculating employer superannuation contributions. OTE ($) Overtime ($) Gross pay ($) N Pay ($) Employer Super Contributions Employees ours worked hurs 10 ri Rate per hour at Sun $ on Tues 7 ed Hicks James Lawson M Murray N Nixon Required: 5 5 5 22.50 12.60 16.50 11.25 14.00 Calculate the amount of employer superannuation contributions for each employee. Calculate the net pay for each employee. Please read the text book carefully in regard to when compulsory employer superannuation contributions will be payable. Note that the employee is eligible for super guarantee when they receive $450 or more (before tax) in OTE for a calendar month. For more details on employee eligibility for super guarantee purposes, please refer to the following ATO link: https://www.ato.gov.au/Business/Super- H Hicks ames Lawson Murray Nixon Note: OTE = Ordinary time earnings. All tax calculations have been rounded to the nearest 5c as per the question however superannuation calculations have been rounded to the nearest 1 c.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Authors: Ray H Garrison, Alan Webb, Theresa Libby

11th Canadian Edition

1259275817, 978-1259275814

More Books

Students also viewed these Accounting questions

Question

Do not come to the conclusion too quickly

Answered: 1 week ago

Question

Engage everyone in the dialogue

Answered: 1 week ago